This document provides information about basic accounting concepts and formats including journal entries, T-accounts, trial balances, examples of different types of accounts, and common accounting transactions. Journal entries record debit and credit amounts for transactions on a date. T-accounts are an informal way to track debit and credit balances in accounts using a double-entry format. A trial balance lists all accounts and their respective debit and credit balances to check the equality of debits and credits. Examples are given for asset, liability, owner's equity, and expense accounts as well as common transactions that affect different account types through debits and credits.

1. Journal entry
-Records transactions
FORMAT
Date Account titles Debit Credit
Ex. Dec. 1 2013 Cash 250000
Capital 250000
T-Accounts
-An informal term for a set of financial records that use double-entry bookkeeping.
FORMAT
Trial Balance
-list of all accounts w/ their respective debit and credit balances
FORMAT
Account titles Debit Credit
Assets
Liabilities
Owner’s equity
Revenue
Expenses
Examples of : assets Liabilities Owners equity Expenses
 Cash > accounts payable capital salaries expense
 Accounts receivable > notes payable withdrawals rent expense
 Notes receivable > (any payables) utilities expense
 Supplies
 Equipment
Represents credit
Account title
debit credit
Must be in order

2. Transactions
Terms Debit to: Credit to:
Invested Cash Capital
Opened Cash Capital
Acquired Cash Capital
Paid Cash Capital
Supplies on account Supplies Accounts payable
Bought supplies Supplies Capital
Billed Accounts receivable Capital
Paid to creditors Accounts payable Cash
Paid salaries Salaries expense Cash
Paid rent Rent expense Cash
Paid electricity Utilities expense Cash
Paid telephone bill Utilities expense Cash
Service rendered Revenue Cash
Transferred Withdrawals Cash
Withdrew Withdrawals Cash